Learn How You Can Build Wealth By Taking Appropriate Action
In the current economy we have talked with many who have been apprehensive in their approach toward reaching their goals—whether financial or otherwise. It is not uncommon for many to lack the know-how and steps that are needed to achieve major success. If you are in that group—now is the time for all of your uncertainty to subside—whether it be your approach towards your finances or uncertainty in other areas of your life!
First, I’m going to dive into the importance of creating a cash flow statement and show you ways that you can use that creation for your greater benefit. Then we’ll look into highly practical ways that you can improve your cash flow and build lasting wealth.
Finally, I will provide closing thoughts on other ways that you can improve your cash flow and build lasting wealth in a more intelligent, consistent and proactive manner.
It is important that you realize that if you take the appropriate action at this time you can bring into existence that which you desire most—and it does not have to be of monetary value. If you desire to achieve more and you have a plan in place to help you do just that—you are well ahead of most consumers.
However, even if you don’t have a plan in place—there is no reason that you—or anyone else should feel discouraged as you reach toward a higher level of excellence. The success that you desire to attain can still happen if you take the right action and you use your determination and willpower to take the right action on a more consistent basis—even when it may appear to be the wrong action in the eyes of others.
Isn’t it time that you do your own thinking, your own analysis, your own decision making and determine what is best for you and your family at this time!
Many visitors to this site have made the decision to dig down deep and apply their mind at their highest level are now on a path to achieving major success in the management and improvement of their finances. Will you be one of those who are on track to achieving major success or will you be one of those who complain daily and fail to look for—or expect a better future in all areas of your life.
Be sure to put on your “heavy duty” thinking cap and learn and comprehend all that you are about to read at your highest level. It is important that you relate all that you have learned from birth until this day so that you can achieve more during your lifetime—whether it be financial or otherwise.
Hold on—here we go—now is the time that you obtain real results in your future that will show!
It is important that you realize at this time that the key to your future success is not only having the ability to overcome any and all adversity that you may face—you must also have a highly effective way of managing and improving your cash flow—and ultimately your net worth.
It is important that you realize at this time that adversity—or unplanned occurrences will occur in your life and at times in rapid succession—however it should be your goal to respond positively to those occurrences at all times.
That positive response begins by conditioning your mind for continuous success by approaching your future in a more appropriate manner. This discussion is designed to get you and your family started on a major path to success that has no limit.
- You Must Know Your Cash Flow If You Are To Achieve Results That Will Show
It is important that you not approach your finances in a haphazard manner by focusing on what is not important.
Your monthly cash inflows and cash outflows are the starting point to getting you in position to achieve lasting success in your financial life. You cannot guess your numbers or just go through the motions on a daily basis by spending your income in a random manner and paying your monthly bills as you see fit.
Even those with high discretionary income on a monthly basis could achieve far more if only they had an effective system in place that allowed them to manage their monthly cash inflows and outflows in a smarter and more beneficial manner.
Creating a realistic plan for building your wealth means that you know your monthly income and your monthly expenses and you have an understanding within your mind of how to manage your income and expenses effectively.
OPTIONS FOR IMPROVING YOUR MONTHLY CASH FLOW
1) Get more income
By increasing the amount of income that you bring in on a monthly basis you can use your creativity and enhance your skills and get into a financial position where you have the available monthly discretionary income that you need to achieve your future wealth building goal(s).
2) Reduce your expenses
By paying off or paying down your outstanding debt and cutting back on your monthly spending you can get to a point where you have the available monthly discretionary income that is needed to achieve your future wealth building goal(s).
3) Do a combination of the two
By increasing the amount of income that you bring in on a monthly basis and by using your creativity and enhancing your financial management skills you can pay off or pay down your outstanding debt and get to a point where you have the available monthly discretionary income that is needed to achieve your future wealth building goal(s).
- Use Your Income to Reach Your Desired Goals
Even if you have additional wealth building goals—you would now be in position to pursue them in a more effective manner because you know your “financial numbers” and you are now in a better position to achieve those goals.
If the wealth building goals that you aspire to achieve are not within the time table that you have for achieving them—you may have to modify your goals or time frame, or reduce the number of goals to a level that is achievable in the time frame that you establish.
You must always know how to make compounding work for you and your family and you must not let others use compounding against you and your family for an excessive period of time—if at all.
You can avoid the latter by putting a plan in place to pay off or pay down your credit card and/or other high interest debt that you are now carrying.
- Use Wisdom to Achieve What You Desire
Keep in mind that you must balance your goals and at the same time use wisdom in your approach!
If your employer offers matching contributions on your retirement account up to a certain level—it normally makes sense to contribute up to the match at a minimum even if you currently do not have a properly funded emergency fund, you have outstanding debt—and you are coming up short on reaching your other goals such as saving for a house or investment property.
By saving on your taxes, getting basically free money from your employer with the retirement contributions match—you would normally put yourself in better position for your future (and possibly the present as well) by doing so.
Whether establishing an emergency fund, establishing a health savings account, establishing a retirement portfolio or investing outside of retirement—you want to choose the appropriate vehicle for getting you to your destination and you want to do your due diligence on the front end!
Final Thoughts On Cash Flow & Building Wealth
It is important that you have working knowledge of how to manage your monthly cash flow in a manner that serves your and your family’s best long-term interests. Furthermore you must realize that the more diverse your investment mix—the more the odds are that your plan will stand the test of time.
As you build wealth be sure to consider index funds as well as actively managed funds, CD’s, and money market accounts—and be sure that you are comfortable and have a real understanding of how what you are investing in works whether it be stocks, bonds, mutual funds or whatever investment that you plan on utilizing to reach your investment and financial goals.
By doing all of the above at a minimum—you put yourself in position to control your future and at the same time you minimize letting others control your future and enhancing their bottom line at your expense.
Always realize that you have what it takes on the inside to improve your personal finances and build lasting wealth! However you must have the attitude that you will bring it all out at this particular moment in time and achieve what you truly desire!
It is important that you focus on what you can do and achieve in your future, regardless of the problems or adversity that you may now face on a daily basis or on the actions that others are taking on a daily basis.
You must always realize that it takes more than just focus to be your best! You must always have the attitude that you will attain success—and you must always put an effective plan in place and give it your best!
The Wealth Increaser is of the opinion that you are on a major path towards success by using your cash flow in a wiser manner and building your wealth in a more intelligent, consistent and proactive manner!
About This Article:
The above article was written by Thomas (TJ) Underwood on August 17th, 2015. Thomas (TJ) Underwood is a licensed real estate broker in the state of Georgia and is the writer behind The Wealth Increaser, Home Buyer 411, Home Seller 411, The 3 Step Structured Approach to Managing Your Finances, Managing & Improving Your Credit & Finances for this MILLENNIUM and CREDIT & FINANCE IMPROVEMENT MADE EASY—FREE GUIDE.
He is the creator of TheWealthIncreaser.com where he regularly blogs about helping consumers improve their credit, finance and real estate pursuits in an intelligent, consistent and proactive manner. He’s always looking for ways to make intelligent finance improvement happen for those who “sincerely desire” success in their future.
You can contact him from a number of sources but the most direct way is to contact him through Realty 1 Strategic Advisors Website. You can also get other highly relevant tips on “living your life more abundantly” and possibly earn revenue at the same time by linking to TheWealthIncreaser.com.
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